- The recent changes in the governance in India can be studied broadly under
- First under Cooperative and Competitive Federalism: It is based on the philosophy that centre alone cannot transfer India. It needs a partnership of the States.
- Second, the government will have to do things very differently (less activity in some spheres, much more activity in others)
Cooperative and Competitive Federalism
- The government must shift from centralize planning towards multi-level planning.
- It needs to discard the one-size fit all approach.
- Different needs and potential of the states must be recognized.
- States must have greater say in the planning and implementation process
- Competitive Federalism means race to the top as States compete with one another on various parameters.
Following steps taken for the promotion of Cooperative Federalism
- The abolition of the Planning Commission,
- Rationalisation of centrally-sponsored schemes ,
- Greater devolution of finances to the States by the 14th Finance Commission laid,
- For the first time, States have a say in Union policy — subcommittees of CMs have studied Skill India, Swachh Bharat, centrally sponsored schemes and digital payments.
Following steps taken for the promotion of Competitive Federalism
- There is now a ranking of States on the Ease of Doing Business,
- There will soon be indices for health, education and water outcomes,
- Centre’s role is limited to conceptualising the indices and monitoring their integrity,
- Centre should help the states by sharing of best practices and model laws.
Minimum Government and Maximum Governance
- It means that the state retreats from spheres where it plays an obviously counterproductive role, like in making it difficult to do business through over-regulation (there is a commitment to improve India’s ranking in
- The focus is to improve India’s ranking in World Bank’s Ease of Doing Business Survey.
- It doesn’t mean a complete retreat of the state from spheres of economic activity.
- It stresses to weed out the underperforming enterprises while strengthening and giving autonomy to those which can thrive.
- The state cannot retreat altogether but it has to be more efficient in carrying out its activities.
Following steps taken for Minimum Government and Maximum Governance
- Subsidised (but not free) insurance
- Pradhan Mantri Suraksha Bima Yojana,
- Pradhan Mantri Jeevan Jyoti Bima Yojana,
- Pradhan Mantri Fasal Bima Yojana.
- The Ujjwala scheme for giving LPG connections to the poorest households,
- The emphasis on Aadhaar and on direct benefits transfer to bring transparency in the government functioning.
|Discuss some of the recent changes in the relationship between Center-State. What steps would you suggest to achieve Minimum Government and Maximum Governance.|